Apple earned nearly $1 billion in deposits into its new, high-yield savings account in just four days, according to a Forbes report.
iPhone maker HYSA launched last month, offering its Apple Card customers a 4.15% return.
On the first day of launch, Apple earned nearly $400 million in deposits.
Apple’s high-yield savings account attracted as much as $990 million in deposits in its first four days of launch, according to a report by Forbes.
The successful launch helped underscore Apple’s ability to further monetize its iPhone user base of more than 1 billion people. On the first day alone, Apple’s new savings account attracted nearly $400 million in deposits, according to the report, which cited two sources familiar with the matter.
With more than 240,000 high-yield savings accounts opened in the first four days of launch, that’s just 0.002% of Apple’s US iPhone users, based on recent estimates of the company’s installed base.
Apple launched a high-yield savings account last month as more and more consumers seek to take advantage of the high interest rate environment.
The savings account is available to Apple Card customers through its partner Goldman Sachs, and offers a yield of 4.15% with no minimum deposit, no minimum balance requirement, and no fees.
While Apple’s initial yield of 4.15% isn’t the highest for a high-yield savings account, there is something Apple offers that few others do: convenience. At least, a convenience for iPhone users who already have an Apple Card, the savings account is integrated into the iPhone’s Wallet app.
The sheer scale that Apple has, along with the convenience it can offer its customers, is something many regional banks are likely to be envious of right now as the recent collapse of First Republic shakes the sector and calls into question the overall stability of banking institutions that were once thought It is relatively safe and stable.
Read the original article on Business Insider